FCRA/State Reportability

Federal Law

Under the Fair Credit Reporting Act (FCRA), consumer reporting agencies (CRAs) are permitted to report criminal convictions with no time restrictions. However, the FCRA does place a seven year limitation on the following adverse items:

Civil suits, civil judgements
Arrest records
Paid tax liens
Accounts placed for collection or charged to profit and loss

The FCRA also places a ten year limitation on reporting bankruptcy.

Exceptions to FCRA Reporting Limitations

The FCRA provides an exception to the above-noted reporting limitations where a “consumer credit report” is “to be used in connection with . . . the employment of any individual at an annual salary which equals, or which may reasonably be expected to equal $75,000, or more.” 15 USC § 1681c(b)(3). There are also other exceptions under the FCRA that arise less frequently. See 15 USC § 1681c(b)(1) (noting exception to the seven-year reporting limits where a “consumer credit report” is “to be used in connection with . . . a credit transaction involving, or which may reasonably be expected to involve, a principal amount of $150,000 or more”); see also 15 USC § 1681c(b)(2) (noting exception to the seven-year reporting limits where a “consumer credit report” is “to be used in connection with . . . the underwriting of life insurance involving, or which may reasonably be expected to involve, a face amount of $150,000 or more”).

State Laws

While states have to remain in compliance with the federal law, states are allowed to impose more restrictive laws. The following chart includes states that have decided to impose more restrictive laws than the FCRA. Please note that there are a handful of other exceptions under certain state laws that arise less regularly and are not included below.

State	Limitations on Criminal Convictions	Salary Exceptions	Limitations on Other Adverse Information
California	7 year limitation from date of disposition or prison/parole release date.	N/A	Prohibited to Report: Arrest and indictment information Misdemeanor complaint not resulting in conviction Convictions for which a full pardon has been granted Unlawful detainer actions, unless the lessor was the prevailing party, or a settlement agreement was reached.
Colorado	7 year limitation from date of disposition or prison/parole release date. ** Preempted by federal law. Verified First will abide by FCRA reporting guidelines in this state and report certain convictions over the 7 year limit when accessible.
Indiana			Prohibited to Report: A record indicating a conviction of a Class D felony (for a crime before July 1, 2014) or a Level 6 felony (for a crime committed after June 30, 2014) if the Class D felony or Level 6 felony conviction has been entered as or converted to a Class A misdemeanor
Kansas	7 year limitation from date of disposition or prison/parole release date.	If applicant's annual salary is $20,000+, CRAs can report criminal convictions with no time restriction
Kentucky			Prohibited to Report: A Kentucky criminal charge, unless the charge has resulted in a conviction.
Louisiana			Prohibited to Report: Failure to pay fines for traffic violations (until 120 days has passed since the disposition)
Maryland	7 year limitation from date of disposition or prison/parole release date.	If applicant's annual salary is $20,000+, CRAs can report criminal convictions with no time restriction
Massachusetts	7 year limitation from date of disposition or prison/parole release date.	If applicant's annual salary is $20,000+, CRAs can report criminal convictions with no time restriction
Montana	7 year limitation from date of disposition or prison/parole release date.
New Hampshire	7 year limitation from date of disposition or prison/parole release date.	If applicant's annual salary is $20,000+, CRAs can report criminal convictions with no time restriction
New Mexico	7 year limitation from date of disposition or prison/parole release date.		Prohibited to Report: Arrests or convictions if a full pardon is granted, or if the arrest is not followed by a conviction
New York	7 year limitation from date of disposition or prison/parole release date.	If applicant's annual salary is $25,000+, CRAs can report criminal convictions with no time restriction	Prohibited to Report: Arrests or criminal charges unless there has been a conviction, or the charges are still pending. A consumers race, religion, color, ancestry, or ethnic origin. Results of a polygraph test or other truth testing device. Satisfied Judgements or paid accounts over 5 years Satisfied, paid, or vacated tax liens. Salary exception does NOT apply to these limitations
Texas	7 year limitation from date of disposition or prison/parole release date. ** Preempted by federal law. Verified First will abide by FCRA reporting guidelines in this state and report certain convictions over the 7 year limit when accessible.
Washington	7 year limitation from date of disposition or prison/parole release date.	If applicant's annual salary is $20,000+, CRAs can report criminal convictions with no time restriction	Prohibited to Report: Juvenile records when the subject of the records is 21 years or older at the time of the report Salary exception does NOT apply to these limitations)

The information and opinions expressed are for educational purposes only and are based 
on current practice, industry related knowledge and business expertise. The information
provided shall not be construed as legal advice, express or implied. 

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